Government proposes further MOJ cuts
In the Chancellors Autumn Statement he revealed further cuts to the Ministry of Justice including a proposal to remove the right for personal injury claimants to general damages for minor injuries and an increase to the threshold for small claims to £5,000.
If these changes are introduced most people will not get compensation if they are injured in motor accidents, accidents at work or trips in the street. The changes mean that if you suffer a soft tissue injury, even one that lasts over a year you won’t be able to recover the cost of legal representation.
The proposed changed are supposed to help insurance companies lower their premiums but after all the changes made already to reduce the cost of dealing with road traffic accident claims insurance premiums are still rising.
Deborah Evans (Chief Executive of APIL) commented ‘It rides roughshod over the basic principle of holding the wrongdoer to account - you could injure someone negligently with no consequences. We would live in a world where you get compensation if your train is half an hour late, but not if someone carelessly crashes into you and leaves you in pain for months.
It also rides roughshod over the value of legal advice - lawyers ensure only justified cases proceed, screen out poor cases, and fight so that those injured get the right amount of damages - not too much, not too little. Now those injured will be expected to fight their cases without help or advice, against big insurers.’
We believe the changes would have a big impact on claimant law firms who represent clients who have been injured. Below is a link to a petition to keep the small claims track for personal injury claims at £1,000.